Government Faces Litmus Test To Implement Budget On Ground

Karam Singh Thakur

(The writer is based at Sundernagar, Mandi)

Chief Minister Virbhadra Singh achieved a new milestone on March 10, 2017 when he presented 20th financial budget in his political life Himachal Vidhan Sabha. The glimpse of state government’s economic policy for next one year was definitely visible in this budget. The budget estimate was Rs. 35,783 crores. Out of which, Rs. 14,578 crores, means 40% of the budget, will be spent on pensions and salaries of employees. The state that is mired in debt will have to shell out Rs. 7,053 crore for the loan and interest repayment. Whatever amount will be left in exchequer will be used for developmental activities and to run the government.  Himachal’s financial condition is much dependent on central grants accounting for 48.16% of state expenditure. Since this year assembly elections are due, the budget was expected to be a populist one. No need to say that budget was aimed to attract the young generation. Creation of 19,000 new posts, unemployment allowance, announcement to create new policy within one month for computer teachers and outsource employees underlines this fact. Besides this, encouraging self employment reflects government’s policy.

The contract employees too were expecting reduction of contract term to three years from present five years tenure. But there was nothing for them in the budget. The budget however definitely instills hope among youtha. The Congress has included unemployment allowance in its election manifesto in 2012. In fact, it grabbed many headlines within and outside the party recently. According to opposition, Rs. 600 crore will be needed to implement unemployment allowance on the ground. Whereas only Rs. 150 crore has been earmarked in the budget for it. It will be interesting to know how the announcement of nemployment allowance will be implemented on ground. Does unemployment allowance make youths dependent and lazy? Only time will tell what effect this announcement has on youth. Industrialisation and organic farming has also been given preference in the budget. Both these sectors are capable to change state’s direction on the path of development. The government has announced many other schemes for farmers and employment generation . Will it be able to implement all these policies on ground in its remaining tenure. The budget inluded new policies and tried to cater to every section of the society. But the question is why such populist budgets are announced in election year only?

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